Pricing > Interest and Financing > Interest Rates
Overview |
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Interest Schedule |
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Calculations |
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Lowest Margin Rates |
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Benchmark Rates |
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Interest Paid to You |
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Interest Charged to You |
Examples of Interest Rate Calculations |
Interest and Financing: Interest Paid to You
For questions about interest rate issues:Please use the Inquiry Ticket or Chat system located in the Support menu of Account Management.
Interest Paid to You on Positive (Credit) Cash BalanceWhen calculating rates, keep in mind that PT uses a blended rate based on the tiers below. PT accrues interest on a daily basis and posts actual interest monthly on the 3rd business day of the following month. The tiers which interest is based upon may change from time-to time without prior notification to customers. Such adjustments are done periodically to adjust for changes in currency rates.
Examples of Interest Paid to You
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For the example below please assume the benchmark rates are as follows:
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Benchmark (BM) |
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| US Dollar Fed Funds Effective | 1.00% |
| EONIA (Euro Overnight Index Average) | 2.080% |
| GBP LIBOR (Overnight Rate) | 4.439% |
Example 1 - Interest Paid To You (USD)
When you have an excess positive cash balance, we'll pay you daily interest on that balance as follows:
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Interest Paid to You on Positive (Credit) Cash Balances
Interest Paid to You on Short Sale Proceeds Cash Balances
Click here to view our Examples of Interest Calculations Page
Learn about our Stock Yield Enhancement Program
Notes:
Examples are shown for informational purposes only. Rates are subject to change without notice.
Minimum interest rates on credit cash balances is 0%. Interest charges will never be applied to credit cash balances.
Costs for position borrowing of stocks with special considerations (for example, hard to borrow instruments) are usually higher than for normal availability stocks. These additional costs will be passed on in the form of lower short stock credit interest. Please note that this may lead to a net debit short stock credit interest in the event that the costs to borrow exceed the interest earned. In order to view the indicative short stock interest rates for a specific stock, Place Trade recommends that customers utilize the Short Stock (SLB) Availability tool located under Account Management/Tools.
*3: The same rate applies to all balance amounts for ILS; there are no tiers.
*2: The same rate applies to all balance amounts for INR; there are no tiers.
